HomeMy WebLinkAboutCCMinutes_2009_07_28 403
Brookings City Council
July 28, 2009
The Brookings City Council held a meeti.ng on Tuesday,July 28, 2009 at 5:00 p.m., at City Hall with
the following members present: Mayor Tim Reed, Council Members Julie Whaley,John Kubal,
Mike McClemans, Mike Bardey,Jael Trieb, and Tom Bezdichek. City Manager Jeff Weldon, City
Attorney Steve Britzman, and City Clerk Shari Thomes were also present.
SDSU Performing Arts Center Rec�uest Dr. David Chicoine,President, South Dakota State
University, made a presentation on the SDSU Performing Arts Center Phase II project and made
the following remarks.
SDSU is requesting a one-time $11.8 million from second-penny sales tax. This is the estima,ted
construction cost of an 850-seat proscenium theater to be attached to the e�sting Performing Arts
Center located on the SDSU Campus.
Background: The Performing Arts Center (PAC) was occupied in 2003. It houses a 1,000-seat
Larson Memorial Concert Hall, a 180-seat Fishback Studio Theatre, a Multi.-purpose Roberts
Reception Hall, a rehearsal room/dance studio, and operational offices. It was constructed for a
cost of$10.2 million ($15.5 million in 2009 dollars) with $6 million in funding from the City of
Brookings, $400,000 in student fees, and the remainder from private sources and Federal Grants.
The PAC has an annual operating budget of$129,000; 68.6% from student fees, 31.4% from user
fees, and the University pays for the utilities.
The current theater facility, Donor Auditorium,is located in the Administration Building and was
built in 1912. Seating capacity was 832;it was reduced to 507 (a 39% decrease) in May 2008 with
restricted use of the balcony. There is also limited accessibility for patrons with physical disabilities.
Phase II Details. The $11.8 million is an estimated cost fox construction of the theatre,with most of
the space public space. It would enable realization of the original vision with a recital hall,reception
space, a proscenium theater, and a studio theater. Having this facility would define Brookings as a
comprehensive performing arts venue.
Second-Penny Sales Tax Funds Request. The $11.8 million request is 39% of the overall project
($30.1 million). S�ty-five percent of the project space is dedicated to theater ($18.3 million);$6.3
million for support space and entries, $2 million for offices and instructional space, $10 million for
Music Dept. Offices,reheaxsal xooms,practice rooms and recital spaces,with the University
responsible for cost of operations and utilities.
President Chicoine mentioned 4 compaxative facilities: 1) College of the Canyons in Santa Clarita,
CA. It was occupied in 2004. Construction cost$18.3 nvllion ($26.2 million in 2009 dollars) and
houses a 886-seat proscenium theater and a black-box theater. 2) University of Delawaxe. Facility
was occupied in the fall of 2006. Construction cost$48 million ($60.6 million in 2009 dollars) and
houses a 464-seat proscenium theater, a 250-seat recital hall, marching band rehearsal space, and a
black-box theatre. 3) Western Connecticut State University. Facility arill be complete in fall of 2011.
Construction cost$97 million. It will house a 500-seat proscenium theatex, a 800-seat concert hall,a
200-seat recital hall, and a 200-seat studio theater. 4) Brandon Valley High School,Brandon, SD.
The facility was occupied in 1999. Construction cost$4.7 nvllion ($7.9 million in 2009 dollars) and
includes a student coxnmons area and an 800-seat proscenium theater.
Economic Impact. There were 31,121 theater patrons in 2007-2008. This is a potential economic
impact of$1,493,808 in 2009 dollars and would provide a return on investment in 7.9 years strictly
from theateY events. This does not include the 13,590 attendees at music events in 2007-2008. In
looking at the future, the PAC with a proscenium theater could attract 60,000+ annual visitoxs for
state productions and concerts and the return on investment could be realized earlier with increased
attendance.
Prairie Repertory Theatre attendees. Average attendance per season over the past 5 years was 7,829,
with 55% of attendees (4,360) from outside of Brookings. Out-of-town attendees account for
$172,240 (day visitors) to $447,824 (overnight visitots) in economic impact. Audience space is
currently limited by Doner Auditorium Yestrictions.
40 �
Possible high school events which could be held in PAC II: a One-Act Play Festival (900 students),
All State Band (172 students),All State Jazz Band (65 students),All State Chorus and Orchestra
(1,100 students), and the State Oral Interpretation Contest (100 students). This would amount to
more than 2,300 high school siudents bringing parents and family for performances.
Community interest. Approxirnately 2,200 students and 800 community members signed petitions
in support for the 850-seat theater.
This is a proposed public-private pa.rtnership. The City's commitment would provide tremendous
impetus along with the already$2 million pxivate leadership gift and discussions with major donors
for approxirriately$12 million. Analogous projects could range from$26.2 million to $97 million.
Council Di.rcu.r.rion: Bezdichek asked the square footage cost on the$30.1 million dollax project.
President Chicoine said the theater space is more e�ensive at$420/sq. ft., $200/sq. foot for entry
space, and$240/sq. ft. for music areas.
Bezdichek asked of the 60,000 people estimated to attend the facility annually,was the University
using the Convention Visitor's Bureau economic impact multiplier of$40/person day visit and
$104/person for overnight? Yes.
Reed asked if the high school events wexe included in the patron numbers. President Chicoine said
no,having the PAC in its entirety would open up a new set of opportunities to host large state or
regional high school performances of both theater and music.
Reed noted that this funding xequest will be discussed along with others during the August 11�'
budget work session at 4:00 p.m.
Ordinance First Reading Policy_Discussion. On July 14, 2009, Council Member Bartley made a
motion requesting the City Council review its policy on required packet support for first reading of
planning commission items. He is recommending less information be required in the "first reading"
agenda packet to speed up the process for applicants.
Weldon said this would be an adjustment on how to handle packet pieces primarily coming from the
Planning Commission. The policy,adopted a nutnber of years ago,requires all packet pieces be
included for first and second readings. There is a tinvng problem as the Planning Commission
meets the fixst Tuesday of each month and the Council agenda packet deadline is that same day at
5:00 p.m. The requirement to include the Planning Commission minutes for first reading has
resulted in delaying applicants by two weeks until the second Council meeting of the month.
Weldon doesn't feel this is very efficient in helping applicants to expedite an application and pending
construction project. The question before the Council with this issue is would it be okay if they had
all support documents except the Planning Commission Meeting Minutes for ordinance first xeading
of planning commission items? Weldon stated in very few cases would there be anything other than
the minutes absent from the packet, and is trying to weigh the issue of all pieces in packet balanced
against customer service to an applicant. He feels it is unnecessary for an applicant to have to wait
two weeks. He further noted that the Council changed their first reading policy so no action is taken
at that time.
Bartley agreed saying this is a customer service issue fo�the City of Brookings. Because of this
Council policy,applicants are forced to wait until all data is available and it hinders the process.
Reed noted that the unappxoved Planning Commission minutes would probably be available to
Council members the following week,if that makes a difference.
ACTION: A motion was made by Baxtley, seconded by Kubal,to accept staff's proposed changes
and bring back an amendment to the first reading policy for action on a consent agenda. All present
voted yes;motion caxried.
Ex-Officio Reporting�Policy Discussion. Pursuant to the City Council's motion from July 14�',
Weldon xecommended time will be set aside at the second monthly City Council Woxk Session for
the Brookings Utility Boaxd and Brookings Health System Board of Trustees Ex-officio members to
provide verbal reports, commencing at the August 25`h work session.
405
Bartley suggested this be a standing item during every work session, so the reports would be more
ti.mely. There was full consensus to provide "ex-officio reports" during the woYk session at every
meeting commencing August 11`h
6:00�.m. Meeting Review. Shari Thornes, Brookings City Clexk, noted changes to the 6:00 p.m.
agenda.
City Clerk Re�ort. Shari Thornes,Brookings City Clerk,provided a briefing on upcoming
invitations and obligations.
Weldon highlighted the budget meeting topics for August 11`''; capital project review, operating
budgets, debt service, subsidy requests, and departmental budgets. The proposed 2010 budget
document will be delivered to the Council by August 15C pursuant to the City Charter.
Mayor Reed commented that the budgeting meeting is a work session. Council members will have
an opportunity to ask questions,but no public testimony will be received. Public discussion on the
proposed budget ordinance will occur on September 22°a
Weldon asked the City Council if they'd like more time scheduled for public interaction or another
format. Bartley said he's liked the process and the way the budget meetings have been conducted
and has never had any requests from the public for more hearings. There was consensus to keep the
process the same as in the past.
The Council recessed at 5:40 p.m. until the 6:00 p.m. regular meeting.
6:00 P.M. REGULAR MEETING. Mayor Reed reconvened and called the meeting to order
at 6:00 p.m.
Consent Agenda. A motion was made by Bartley, seconded bp Whaley, to approve the consent
agenda:
A. Action to approve the agenda.
B. Action to approve the July 14,2009 City Council Meeting Minutes.
C. Action on Resolution No. 70-09, a Resolution Adopting the City of Brookings Identity
Theft Policy Pursuant to the Requirements of the Fair and Accurate Credit Transactions
Act of 2003.
Resolution No. 70-09
Resolution Adopting the City of Brookings Identity Theft Policy pursuant to the Requitements
of the Fai�and Accurate Credit Transactions Act of 2003.
Be It Resolved by the City Council of the City of Brookings, South Dakota as follows:
� Whereas, the Fair and Accuxate Credit Transactions Act of 2003 ("FACTA") and regulations
and guidelines pYOmulgated by the Federal Trade Commission requ,ite creditors and financial
institutions to develop and implement written "identity theft prevention programs"; and
WheYeas, the Identity Theft Prevention Programs must provide for the identification, detection
and response to patterns, practices, oY specific activities -known as "red flags"which could
indicate identity theft;and
Whereas,under FACTA, the definition of "creditor" includes circumsta.nces where a payment
is made after delivery of a product ox service, and therefore,in some circumstances, the city is or
may be deemed to be a creditor under FACTA and therefore is required to comply with the
Identity Theft Red Flags Rule, and
Whereas, the City of Brookings has developed an Identity Theft Policy in complia.nce with the
foregoing requirements,
Now Therefore, It is hereby resolved by the City Council of the City of Brookings, South
Dakota, as follows: ,
A. That the City of Brookings Identity Theft Policy which accompanies this
Resolution is hereby adopted;and
40 �
B. That the City Finance Manager is hereby designated as the Program
Administrator of the City of Brookings Identity Theft Policy,with authority to
further develop and implement this policy; and that
C. This Resolution is necessary for the immediate preservation of the public peace,
health, or safety, or support of the municipal government and shall take effect
upon the passage and publication thereof.
D. Action on Resolution No. 71-09, awarding bids for Innovation Campus Phase II Street
Project—2009-05STI.
Resolution No. 71-09
Resolution Awarding Bids on Project 2009-05STI
SDSU Innovation Campus Infrastructure Phase II
Whereas, the City of Brookings opened bids for Project 2009-05STI SDSU Innovation Campus
Infrastructure Phase II on Tuesday,July 21, 2009 at 1:30 pm at Brookings City Hall; and
Whereas, the City of Brookings has received the following bids for Project
2009-03STI SDSU Innovation Campus Infrastructure Phase II: Bolve.r Con.rtrzaction Co., Inc.,
Brooking.r, SD, $2,124,913.92 (Alternate 1: $58,760.00);Metro Construction, Inc., Sioux Fall.r, SD,
$2,394,679.89 (Alternate 1: $56,500.00);Hd�°I�Y/Contracting LLC, Sioux Fall.r, SD, $2,400,414.50
(Alternate 1: $60,500.00);Przrnty Con.rtruction Co., Inc.,Brooking.r, SD, $2,408,141.15 (Alternate 1:
$61,104.75); WinterBrother.r Underground, Inc., SiouxFall.r, SD, $2,4-45,000.00 (Alternate 1:
$60,000.00);and OliverExcavatin� Inc., Tea, SD, $2,574,397.90(Alternate 1: $62,150.00).
Now Therefore,Be It Resolved that the low bid of$2,124,913.92 and Alternate 1 for$58,760.00
for Bowe.r Con.rtruction,Inc.,Brooking.r, SD be accepted.
E. Action on Resolution No. 72-09, awarding bids for Willow Springs Stteet Project—2009-
03STI.
Resolution No. 72-09
Resolution Awarding Bids on Project 2009-03STI
Willow Springs Circle Street Improvement PYOject
Whereas, the City of Brookings opened bids for Project 2009-03STI Willow Springs Circle Street
Improvement Pxoject on Tuesday,July 21,2009 at 1:30 pm at Brookings City Hall;and
Whereas, the City of Brookings has received the following bids for Project
2009-03STI Willow Springs Circle Street Improvement Project: Bosve.r Con.rtruction Co., Inc.,
Brooking.c, SD, ,$196,722.05;OliverExcavatin� Inc., Tea, SD, ,$243,259.00;and Prunty Con.rtruction Co.,
Inc, Brookings, SD, �'2G7,789.08.
Now Therefore,Be It Resolved that the low bid of$196,722.05 for Boaves Con.rtruction, Inc.,
Brnoking.r, SD be accepted.
F. Action on Resolution No. 73-09, a Resolution Concurring in the placement of Stop Signs
at the Intersection of 7`� Street and 13�'Avenue. �
Resolution No. 73-09
Concutring in the Placement of Stop Signs at the intersection of 7`�' Street and 13`"Avenue
Whereas,Section 82-373 of the Revised Ordinance of the City of Brookings,provides for
approval by the City Council for placement of stop signs in locations other than along through
streets.
Now,Thexefore,Be It Resolved that the City Council concurs in the recommendation of the
Traffic Safety Committee and the City Manager and approves the placement of stop signs on 7`n
Street at its intersection with 13`}'Avenue.
G. Action on Resolution No. 74-09, a Resolution Amending Award of Bids for Airport Fuel
System Concrete Work.
Resolution No. 74-09
Resolution Awarding Bids fox
Airport Fuel Spstem Concrete Work
407
Whereas, the City of Brookings opened bids for the Airport Fuel System Concrete Work on
Tuesday,June 16, 2009 at 1:30 pm at Bxookings City Hall; and
Whereas, the City of Brookings has received the following bids for the Airport Fuel System
Concrete Work: Rexcon Materials, Inc.,Volga, SD, $9,296.00;Mills Construction, Brookings,
SD, $14,990.00; Owens Enterprises, Inc., Brookings, SD, $17,134.00;Bxooks Construction,
Sioux Falls, SD, $30,000.00; Caxl V. Carlson Company,Tea, SD, $30,290.00;Peterson Concrete,
Mitchell, SD, $32,500.00;Dakota Contracting Corporation, Sioux Falls, SD, $33,980.00;and
Clark Drew Construction, Inc., Brookings, SD, $36,500.00.
Whereas, the City of Brookings has revised the location of the project and curb heights of the
concrete work; and
Whereas, the low bidder,Rexcon Materials, Inc.,Volga, SD,has rescinded its bid due to the
foregoing change orders;and,based upon the above-mentioned circumstances,it is necessary to
adopt this Resolution in lieu of Resolution No. 58-09 dated June 23, 2009.
Now Therefore,Be It Resolved that the next lowest bid of Mill.r Con.rtruction, Brooking.r, SD for the
Airport Fuel Sy.rtem Concrete T�ork in the.rum of$�4,990 i.r accepted and Ke.rolution 58-09 i.r hereby rej�ealed.
H. Action on Resolution No. 75-09, a Resolution Authorizing the Mayor to Sign an
A,greement for Federal Aviation Administration Grant.
Resolution No. 75-09
Resolution Authorizing Mayor to Sign an Agreement for
Federal Aviation Administration Grant
AIP Project No. 3-46-0005-21-2009
Whereas, the Brookings City Council desires funding for Snow Removal Equipment and
services to Conduct Environmental Study (Phase II� for Airport Improvement Project No. 3-
46-0005-21/2009;and
Whereas, The City of Brookings is obligated to and hereby agrees to be reixnbursed by the
Federal Aviation Administration for 95% and SD State AeYOnautics Department for 2% of the
allowable costs incurred in accomplishing Airport Improvement Project No. 3-46-0005-
21/2009; and
Whereas, that Federal Aviation Administration is hereby requested to authorize Airport
Improvement Project No. 3-46-0005-21-2009 in accordance with the approved grant agreement.
Now, Therefore, Be It Resolved, that the Mayor is hereby authorized to sign all documents
xelated to an agreement for the Federal Aviation Administration Grant AIP Project No. 3-46-
0005-21-2009.
I. Action on a real estate tax abatement for the City of Brookings in the amount of$1,123.35
for 2008 tax year for farmland properiy located at N 1/2, SE 1/4 Exc H-1 and Exc portion of
E720' of S1450' and Exc H-4 and Exc Lot 1 Shop Site and Exc E985' of N 1/2 SE 1/a.
On the motion, all present voted yes; motion carried.
Presentation of ABLE �Abilit�, Belief, Leadership and Ec�uality to Achieve Access for Alll
Awards for Accessibility by Brookings Comrnittee for People who have Disabilities. 'I'his
year's award winner was the Brookings Wesleyan Church for its programs are models of accessibility
and inclusion.
1S`Reading—Ordinance No. 18-09. A first reading was held on Ordinance No. 18-09, an
Ordinance pertaining to an application for a Conditional use foY a Kennel in the Business B-3
District. Pu6lic Hearing: August 11, 2009.
Public Hearing—A.greement to Exchange Real Pro�ert� A public hearing was held on an
agreement between the City of Brookings and Mills Development Corporation for the exchange of
real property of the following described property: Tract I: Block Eight (8) of Hyland Addition to
the City of Brookings, County of Brookings, State of South Dakota,in exchange for the above-
described property, the City to convey to Mills and Mills to acquise from Ciry the following
described real property: Tract II: A parcel of real property measured 40'by 743 feet and located in
40 � �
the P�airie Hills Subdivision to the Ciry of Brookings, County of Brookings, State of South Dakota,
as shown on the attached Exhibit"A";and Tract III:A parcel of real property consisting of Twenty-
five (25) acres,more or less, and located in the Prairie Hills Subdivision to the City of Brookings,
County of Brookings, State of South Dakota.
Weldon said pursuant to the Council's direction of adopting a project priority listing for the City's
Storm Drainage Master Plan implementation, the fixst project involves the acquisition of Block 8
Hyland Addit'ton. This parcel is owned by John Mills. Weldon has been negotiating with Mills for
the purchase of this parcel. The property is priced at$406,673;Mr. Mills has offered to reduce the
price of the parcel by$100,000 if we deed to Prairie Hills,LLC a 25 acre parcel of unplatted
property just southwest of Medary Avenue and 20`'' Street South,which is currently owned by the
City. This acreage is east and directly adjacent to the pending residential subdivision plan of Prairie
Hills, legally owned by Prairie Hills,LLC.
SDCL 9-27-34.1 authorizes the transfer of property between a municipality and a private party.
Mills Development intends to utilize this 25 acre axea to assist with development objectives that
support and complement the future Prairie Hills subdivision with items such as: storm drainage
ponds,utilizing the fill to help improve lots, and create open space amenities that enhance the area.
A small sliver of this parcel,in the extreme northeast corner adjacent to the existing bike trail,would
be added to an existing adjacent 12-acre business paxcel. When completed,this area would be
enhanced open space from its current state. Plans are in the early development stage but axe not yet
complete.
This area was received by the City through a partial purchase and partial donation from Prairie Hills,
LLC initially and was intended to be open space and future parkland a few years ago. However,it
does not appear in the City's comprehensive pla,n as being identified as future parkland. The land is
low,prone to flooding, and serves as paxt of our overall storm water management system. The
exchange would not include the land cuYrently as part of the paved trail system,which would remain
unchanged and retained by the City. In fact,it would probably be enhanced as part of the end-use
open space development. Staff has had concerns about the ftnal reclamation condition of this
property, especially the existing rail-bed as a primitive trail and preserving some of the cottonwood
trees along Medary Avenue. Mills Development has agreed to xetain the rail-bed trail and integrate it
into a comprehensive trail system. Many of the trees can remain but some will have to be removed,
as the remaining life of some of the cottonwood trees is questionable. Mills Development and the
City will work coopexatively on a final plan for this area. ,
In order to facilitate a property exchange (so the City can get a reduced price for Block 8 Hyland
Addition for a needed storm drainage pond), the City was required to appoint three people to
"appraise" or value the two parcels. This is done in lieu of a formal appraisal and at no cost to the
City. The appraisal information is then used as a tool but is not binding upon the Council. Using
the exchange procedure, the City also would not need to transfer the property through BEDC which
is typically done. The City Council approved the appointtnent of three persons to provide such an
assessment of the two paxcels at the June 23`� Council meeting. The results are as follows and their
opinions were as follows:
Realtor: Block 8 Hyland Addn. (Mills) SW Medary/20`� (City)
Sara Woodard $521,730-$579,700 $250,000-$300,000
Ron Boxchardt $376,805-$463,760 $75,000-$125,000
Ryan Kxogmann $405,000-$450,000 $100,000-$125,000
All three realtors provided this service to the City without chaxge, for which the City is gxeatly
appreciative.
Also attached is the REAL ESTATE EXCHANGE AGREEMENT which was prepared by City
Attorney Steve Britzman. Once executed,would facilitate the property transfer. The end result of
the tsansaction would be as follows:
Prairie Hills LI.0 ta.kes possession of the City property and can utilize it to complement
development of the Prairie Hills residential subdivision, however, no homes would be built on this
pxoperty. Prairie Hills LLC will woxk with the City on an end-use redevelopment plan with it being
returned to the City as re-developed and enhanced open space. A small sliver of land (40'by 743')
adjacent to an existing B zone parcel would be retained by Prairie Hills LLC.
409
The City takes possession of Block 8 Hyland Addition for payment of$306,673.64 from the Storm
Water Fund as the numbeY one priority in our Storm Water Master Plan and begin engineering for
the construction of the site for a pond. Because of the land exchange, this purchase price has been
reduced by $100,000.
This land transaction paves the way for development of the Prairie Hills Yesidential subdivision on
the southeast corner of Main Avenue and 20th Street South. Some complementary neighborhood
commercial development is also planned for this area.
This transaction provides for the installation of a trunk sewer system along Main Avenue to service
Prairie Hills as well as future development on the west side of Main Avenue South. This is an
implementation strategy to Goal #5 from last yeax's Strategic Plan to extend utilities into our
southem growth coYridor.
This will spux development on the west side of Main Avenue South. The School District has
purchased 20 acres for a new elementary school and Oakwood Equity has purchased property on
the southwest corner of Main Avenue South and 20`'' Street South for a residential and
neighborhood commercial subdivision. This project has had a preIiminary review by the Planning
Commission and all such projects would utilize the trunk sewex line.
The other option, of course,is not to underta.ke the transaction. The result of this option would be
the city open space would likely not be improved to a "better" open space; the storm dtainage
project would be$100,000 more e�ensive; and private development on South Main would likely be
stalled.
John Mills sa.id he was contacted by city staff three or four years ago letting him know that the City
might need Block 8 of the Hyland Addition due to drainage issues. In response to that request,he
put plans for that area on hold until the City figuxed out if it needed the land.
Public Hearing: Keith Kound.r,poke in favor of the request. Hearing Clo.red.
ACTION: A motion was made by Whaley, seconded by McClemans, to approve.
Council Di.rcar.r.rion: McCleman.r a.rked if the "cros.rhatch"area depicted on the ma�i sva.r forfill and excavation.
Ye.r, that area i,r losv and fZood prone and need.r to be elevated and it zvill be developed for a retention.rtructure.
1-Vhaley a.rked ho2v long the prnce.cr avould take. Oneyear. �
i�eldon.raid he'd rather,ree property tax j�aying entitie.r on the develo,bment, but the City doe.rn't have much choice
avith the flozv and drainage. The City ha,r an opportunity here to manage and control drainage. Thi.r i.r an urbanitied
area and it i,rgoing to be a challenge to make an ae.rthetic amenity out of a.rlesu� He noted that the properly svill be
deeded back and on the tax role.r. It svill al.ro he p get the Prairie Hill,r project moving for�vard a.c svell a.r other
development opportunitie.r.
John Mills.raid he is happy to.rtill have an o�vner.rhip intere.rt in Block 8 and i.r al.ro happy to hear that the City
svants to develop the retention project in an ae.rthetic�vay, .rugge,rting a bike trail, benche.r and tree.r.
On the motion, all present voted yes;motion carried.
Real Estate Exchange Agreement
THIS REAL ESTATE EXCHANGE AGREEMENT is made and executed by and between the
City of Brookings, South Dakota, a South Dakota Municipal Corporation, (hereinafter referred to as
"City"), and Prairie Hills LLC, (heYeinafter referred to as the "Prairie Hills");
WITNESSETH:
WHEREAS, each of the parties desires to acquire certain real property from the other paxty,
pursuant to the terms of this Real Estate Exchange Agreement.
NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS AND
AGREEMENTS CONTAINED HEREIN, IT IS MUTUALLY AGREED BY AND BETWEEN
THE PARTIES HERETO AS FOLLOWS:
41 ��
1. Exchange of Real Pro�ertv. Prairie Hills hereby agrees to convey to City and City hereby
agrees to acquite from Prairie Hills, the following described real pxoperty:
Tract I. Block Eight (8) of Hyland Addition to the City of Brookings, County of
Brookings, State of South Dakota.
In exchange for the above-described property, the City hereby agrees to convey to Prairie
Hills and Prairie Hills hereby agxees to acquire from City the following described real
property:
Tract II. A parcel of real property measured 40'by 743 feet and located in the
Prairie Hills Subdivision to the City of Brookings, County of Brookings, State of
South Dakota, as shown on the attached Exhibit"A";and
Tract III. A parcel of xeal property consisting of Twenty-five (25) acres,more or
less, and located in the Prairie Hills Subdivision to the City of Brookings, County of
Brookings, State of South Dakota,as shown on Exhibit"A" attached hereto.
A survey may be requ.ired to describe Tracts I and II prior to Closing.
In addition, the City shall pay to Prairie Hills at Closing the additional sum of Three
Hundred Si�c Thousand Six Hundred Seventy-three and 64/100 ($306,673.64) Dollars in
order to equalize the value of the exchange.
2. Real Estate Closing Documents and Miscellaneous. City shall provide a Warranty Deed to
Prairie Hills at Closing to include the property described as Tracts II and III above. City shall convey
said property free of liens and mortgages,but said property may be subject to easements,rights of
way and restrictions of xecord. Prairie Hills shall,in turn,pxovide a Warranty Deed to City at
Closing to include the property described as Tract I above. Prairie Hills shall convey said property
free of liens and mortgages,but said property may be subject to easements,rights of way and
restrictions of record. In addition,Prairie Hills and City, as the case may be, shall also perform the
following:
A. Tide Insutance Policv. Tide Insuzance is not zequired fo�this ttansaction.
B. Deed Pre�aration. The City Attorney will prepaxe the respective Warranty Deeds
and Certificates of Real Estate Va1ue.
C. Transfer Fee and Real Estate Taxes. This transaction is exempt from transfer fees.
Because Tracts II and III have been owned by the City of Brookings,which is a
political subdivision, the property is exempt from real property taxes and the
drainage assessment prior to the date of Closing.The 2009 Real Estate Taxes for
Tracts II and III shall be prorated£rom the date of Closing,with Prairie Hills paying
the pro-rated shaxe pertaining to Tracts II and III after the date of Closing. All£uture
taxes and assessments,including the 2009 annual storm sewer and drainage
assessment,if any, shall also be Prairie Hills' obligation. With respect to Tract I,
Prairie Hills shall pay the accruing 2009 Real Estate Taxes thxough the date of
Closing.
D. Closing Date. The Closing Date shall occut when a mutually acceptable Closing
Date is selected.
E. Possession. The paxties shall each acquire possession of the above-described
property immediately following Closing.
� 3. Right of First Refusal. In the event the City of Brookings, South Dakota or its successors or
assigns shall receive a bona fide offer from any person, company or other entity for the purchase of
paxt or all of Tract I, and should the City of Brookings, South Dakota or its successors or assigns be
willing to accept such of£er,the City of Brookings, South Dakota or its successors or assigns shall
provide Prairie Hills LLC with a copy of the offer and a copy of any proposed contsact covering the
sale of the above described real property and shall notify Prairie Hills LLC that it has accepted the
proposed contract subject to this Right of Fixst Refusal. For a period of sixty (60) days following
receipt of the copy of said offer as contained in the proposed contxact,Prairie Hills LLC shall have
the right and option to enter into a real estate purchase contract with the City of Brookings, South
411
Dakota on the same terms and conditions specified in the bona fide offer or proposed contract. In
the event Prairie Hills LLC shall not so elect within the s�ty (60) day period, the City of Brookings,
South Dakota may then proceed to sell the part or all of the above-described real property to the
potential buyer,pravided the sale is completed upon the same terms and conditions and for the
same purchase price set foxth in the bona fide offer or contract delivered to Prairie Hills LLC.
This Right of First Refusal shall run with the land described herein.
4. Right of First Refusal. In the event Prairie Hills LLC or its successors or assigns shall
receive a bona fide offer from any person, company or other entity for the purchase of part or all of
Txacts II and III, and should Prairie Hills LLC or its successors or assigns be willing to accept such
offex, Prairie Hills LLC oz its successors or assigns shall provide the City of Brookings, South
Dakota with a copy of the offer and a copy of any proposed contract covering the sale of the above
described real property and shall notify the City of Brookings, South Dakota that it has accepted the
proposed contract subject to this Right of Fixst Refusal. For a period of sixty (60) days following
receipt of the copy of said offer as contained in the proposed contract, the City of Brookings, South
Dakota shall have the right and option to enter into a real estate purchase contract with Prairie Hills
LLC on the same terms and conditions specified in the bona fide offer or proposed contract. In the
event the City of Brookings, South Dakota shall not so elect within the s�ty (60) day period,Prairie
Hills LLC may then proceed to sell the part oY all of the above-described real property to the
potential buyer, provided the sale is completed upon the same terms and conditions and for the
same purchase price set forth in the bona fide offer or contract delivered to the City of Brookings,
South Dakota.
This Right of First Refusal shall run with the land described herein.
5. Notice. This Rea1 Estate Exchange Agreement was prepared by Steven J. Britzman, City
Attorney for die City of Brookings, 521 Sixth Street, Suite 104, Brookings, South Dakota 57006.
6. Entire Agreement. This written Agreement constitutes the complete Agreement between
the parties and supersedes any prior oral or written Agreement between the parties regaxding the
subject matter of this Agreement. There are no verbal agreements that change this Agreement and
no waiver of its terms will be effective unless such are made and executed in writing and duly
acknowledged as received by the parties.
7. Binding Effect. T'his Agreement binds the parties hereto and their heirs, successors and
assigns, if any.
Tem�orar_y On-Sale Malt& On-Sale Wine. A public hearing was held on an application for a
Temporary On-Sale Malt Beverage and On-Sale Wine Retailer's License fox Downtown Brooki.ngs,
Inc., on August 8, 2009,in the 400 block of Main Avenue for the "Taste of Brookings" event. No
public comments were made. The application reque.rts the I�eergarden location to consi,rt of the entire 400 block
of Main Avenue. Hozvever, Police Chief J�Miller recommend.r a beergarden enclosure,pending city attorney'.r
opinion regarding open container la�v.c The application al.ro identifie.r DBI memberr serving as security per,ronnel,•
hosvever, Police Chief J�Miller recommends adding to the�iermit onepolice o�icer for.cecxrity Gepaid for and
provided by DBI at the normal charge-out rate of�'30./hr. That svould amount to�'180.00 for the S hourperiod.
The 1'olice Dept. avould also provide tsvo additional reserue o�cer.r, ivitb the full-ti�ne o�"zcer, at rro co.rt. A motion
was made by Bartley, seconded by Trieb, to approve pursuant with the requirements as stipulated by
the Police Chie£ All present voted yes; motion carried.
TABLED ITEM: Resolution No. G7-09. TABLED ITEM: A motion was made by Bartley,
seconded by McClemans,to remove Resolution No. 67-09 from the table. All present voted yes;.
motion carried.
Weldon Yeported that this item was previously tabled due to the location of the main trunk water
line. The developers are trying to get the necessary access easement for the owners,which need to
be granted by Brookings Municipal Utilities. Those have not been gzanted yet; however, the 30 day
bid limit has almost expired and he's recommending action to awaxd the low bid to Rounds
Construction.
A motion was made by McClemans, seconded by Whaley, to approve Resolution No. 67-09,
awarding bids for 2009-09STI Riogrand,Napa Valley, Sonoma Valley&Cumberland Court Street
Pxoject,Phase II,Asphalt Surfacing, Grading, Curb & GutteY, and Utilities. No public comment
was made. All present voted yes; motion carried.
41Z
Resolution No. 67-09
Resolution Awarding Bids on 2009-09STI
Rio Grand, Sun Valley, Senoma Valley& Cumberland Court
Valley View Phase II Project
Whereas, the City of Brookings opened bids for the 2009-09STI Rio Grand, Sun Valley, Senoma
Valley&Cumbexland Court Phase II Project on Tuesday,July 7, 2009 at 1:30 pm at Brookings City
Hall;and
Whereas, the City of Brookings has received the following bids for the 2009-09STI Rio Gxand, Sun
Valley, Senoma Valley&Cumberland Court Phase II Project:
GRADING: Kound,r Con.rtruction Co.,Inc.,B�noking.r, SD, ,�'279,356.09;Bowes Construction, Inc.,
Brookings,SD,$349,750.59;and Oliver Excavating,Inc.,Tea,SD, $389,149.53. PAVING: Bowes
Con.rtruction Co.,Inc., Brooking.r, SD, ,�'S2,590.00
Now Therefore,Be It Resolved that the low bid$279,356.09 for Rounds Construction Co., Inc.,
Brookings, SD be accepted for the Grading project and the low bid of$52,590.00 for Bowes
Construction Co., Inc.,Brookings, SD be accepted for the Paving Project.
Ad�ourn. A motion was ma.de by Whaley,seconded by Bezdichek,to adjourn. All present voted
yes;motion carried. Meeting adjourned at 6:35 p.m.
CITY OF BROOKINGS
0 CITYOF
p�r•"inicp'•B9
A'I'I'EST �:f ,y �°°��F Tim Reed,Mayor
cZi: !'99 �:c�i
/ ' C'p� �9 tn
l� O'•rh»•��• �_/
Ul�
Shari Thornes, City Clerk